VersaBank (NASDAQ:VBNK) Trading Down 3.7% – Here’s Why

by · The Markets Daily

VersaBank (NASDAQ:VBNK – Get Free Report) dropped 3.7% on Thursday . The company traded as low as $22.92 and last traded at $22.8410. 19,344 shares changed hands during mid-day trading, a decline of 72% from the average daily volume of 69,510 shares. The stock had previously closed at $23.72.

Analyst Ratings Changes

VBNK has been the topic of several research analyst reports. Zacks Research raised shares of VersaBank from a “strong sell” rating to a “hold” rating in a research note on Monday, May 4th. Weiss Ratings cut shares of VersaBank from a “buy (b-)” rating to a “hold (c+)” rating in a research report on Tuesday, June 9th. Finally, Roth Mkm raised VersaBank from a “neutral” rating to a “buy” rating and upped their price objective for the stock from $20.00 to $25.00 in a report on Tuesday. One equities research analyst has rated the stock with a Buy rating and two have issued a Hold rating to the company’s stock. According to data from MarketBeat, the stock presently has a consensus rating of “Hold” and a consensus price target of $25.00.

Read Our Latest Report on VBNK

VersaBank Stock Performance

The firm’s 50-day simple moving average is $18.74 and its 200 day simple moving average is $16.54. The company has a market cap of $719.83 million, a P/E ratio of 32.48 and a beta of 1.04.

VersaBank (NASDAQ:VBNK – Get Free Report) last posted its quarterly earnings results on Wednesday, June 3rd. The company reported $0.28 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.26 by $0.02. VersaBank had a return on equity of 8.32% and a net margin of 9.34%.The business had revenue of $28.17 million for the quarter, compared to analyst estimates of $26.86 million. As a group, research analysts forecast that VersaBank will post 1.3 earnings per share for the current year.

VersaBank Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Friday, July 31st. Shareholders of record on Friday, July 10th will be issued a dividend of $0.025 per share. The ex-dividend date is Friday, July 10th. This represents a $0.10 dividend on an annualized basis and a yield of 0.4%. VersaBank’s dividend payout ratio (DPR) is 10.14%.

Institutional Trading of VersaBank

A number of institutional investors and hedge funds have recently modified their holdings of the stock. Connors Investor Services Inc. raised its position in shares of VersaBank by 18.2% in the 3rd quarter. Connors Investor Services Inc. now owns 13,000 shares of the company’s stock valued at $159,000 after acquiring an additional 2,000 shares during the period. First Trust Advisors LP raised its holdings in VersaBank by 33.0% in the second quarter. First Trust Advisors LP now owns 20,753 shares of the company’s stock worth $237,000 after purchasing an additional 5,144 shares during the period. Salzhauer Michael grew its holdings in shares of VersaBank by 68.4% in the 2nd quarter. Salzhauer Michael now owns 16,843 shares of the company’s stock valued at $192,000 after buying an additional 6,843 shares during the period. TD Waterhouse Canada Inc. increased its position in shares of VersaBank by 5.5% in the 4th quarter. TD Waterhouse Canada Inc. now owns 156,540 shares of the company’s stock valued at $2,316,000 after buying an additional 8,149 shares in the last quarter. Finally, Militia Capital Partners LP raised its stake in VersaBank by 16.7% during the 3rd quarter. Militia Capital Partners LP now owns 70,000 shares of the company’s stock worth $855,000 after buying an additional 10,000 shares during the period. 56.86% of the stock is owned by institutional investors.

VersaBank Company Profile

(Get Free Report)

VersaBank is a Canadian Schedule I chartered bank that operates as a fully digital institution, offering a range of deposit and lending solutions through its proprietary technology platform. Headquartered in London, Ontario, the bank has chosen to forego a traditional branch network in favor of online and digital distribution, enabling it to serve clients across Canada and the United States with efficiency and lower overhead.

The bank’s primary business activities include the origination and securitization of commercial loans, equipment financing, residential mortgages and construction loans.

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